Pensions and Social Security

Debate between Steve Webb and Stephen Lloyd

Wednesday 13th February 2013 Commons Chamber

[Steve Webb]

My hon. Friend is right that placing the housing element in a single benefit—the pension credit—rather than it being a separate claim through a local authority will reduce administrative costs and increase take-up as well.

On disability benefits, this year the coalition will ensure that those who face additional costs because of their disability and who have perhaps less opportunity to increase their income through paid employment will see their benefits increased by the full value of CPI. Therefore, disability living allowance, attendance allowance, carers allowance and the main rate of incapacity benefit will all rise by the statutory minimum of 2.2% from April 2013, as will the employment and support allowance support group component and those disability-related premiums paid with pension credit and with working-age benefits.

[Stephen Lloyd (Eastbourne) (LD)]

Will the Minister make it absolutely clear for the record that, despite some noise in the media, disability benefits are all going up by the higher rate?

[Steve Webb]

Yes. My hon. Friend is right. The specific benefits for the extra costs of disability are all rising by the full 2.2%.

Pensions and Social Security

Debate between Steve Webb and Stephen Lloyd

Thursday 23rd February 2012 Commons Chamber

[Steve Webb]

On the contrary, let us bear in mind what the Government have done: the Chancellor has taken action on the taxation of petrol, resulting in inflation being lower than it would have been, and we have successively frozen council tax in many parts of the country, which is of huge benefit to many pensioners. There are many things that Governments do that influence inflation. Some factors are global, which is one reason inflation peaked at 5.2%, but measures that the Government have taken have also been one reason prices have been falling. That is entirely to the Government’s credit.

[Stephen Lloyd (Eastbourne) (LD)]

Does my hon. Friend agree that the Government came under considerable pressure not to opt for 5.2% because informed opinion thought that inflation was falling, but with strong urging from the Liberal Democrats in the coalition, the Minister determinedly stuck to the 5.2%, which has made it a real-terms increase?

[Steve Webb]

Indeed. My hon. Friend is right that there were siren voices from some quarters suggesting that we could not afford, or that we should not go for, this inflation figure. He is absolutely right that the coalition parties decided that it was a priority. That is something that I am proud to be associated with.